MEMBER for Albury Justin Clancy joined fellow Coalition MPs on Thursday to vote down a bill for a more open water register in NSW.
The proposal from Murray MP Helen Dalton was rejected 41-45 with the Shooters, Fishers and Farmers MP winning the support of Wagga Independent Joe McGirr.
Mr Clancy told parliament Mr Clancy said it be wrong to adopt the bill now because the Australian Competition and Consumer Commission had not completed a final report on water trading in the Murray-Darling Basin.
He said a "significant body of work" still needed to be done and the final model to more transparently register water ownership needed to tie in with other states.
Mr Clancy said like Mrs Dalton he wanted water transparency, accountability, availability, a register of interests and apt sanctions, but he criticised her approach.
"You can garner headlines but, down the track, leave the community disappointed," he said.
"Government, however, has to build the engine that will power a fairer, more transparent and improved water sharing scheme for the state, and connect that to the states around us."
Mr Clancy and Water Minister Melinda Pavey cited correspondence from water suppliers Murray Irrigation and Coleambally Irrigation criticising the bill.
Ms Pavey said the latter organisation stated it would create "conflict in our region" and she added that was "something the member for Murray is just brilliant at".
Huge victory for communities, farmers, Indigenous groups, democracy and transparency in NSW Parliament last night.— Helen Dalton MP (@helendalton22) September 22, 2020
Big defeat for the @NSWNationals
Opposition parties combine forces to shoot down secret floodplain harvesting law change #nswpol#auspolhttps://t.co/xM2KPGv8eJ
Mrs Dalton said government hostility was based on "corruption" and added citing the need for the ACCC to give final recommendations was a "ridiculous delaying tactic".
"In 2004, all the state governments and federal government agreed to implement a transparent water register, under the National Water Initiative," she said.
"Sixteen years later, (the) NSW Government have done nothing.
"So why would we think an ACCC report will make any difference?"